Demonetisation may lead to temporary slowdown of economy: Prez Mukherjee

President Pranab Mukherjee on Thursday said the demonetization move, while immobilizing black money and fighting corruption, may lead to temporary slowdown of the economy.

The President was delivering the New Year message to the Governors and Lt. Governors of states and Union Territories through video conferencing from the Rashtrapati Bhavan.

President Mukherjee said that the government has to be extra careful to alleviate the suffering of the poor which might become unavoidable for the expected progress in the long term.

"While I appreciate the thrust on transition from entitlement approach to an entrepreneurial one for poverty alleviation, I am not too sure that the poor can wait that long," he said.

President Mukherjee said the poor needs help, so that they can also participate actively in the national march towards a future devoid of hunger, unemployment and exploitation.

He added that the recent package announced by the Prime Minister will also provide some relief.

The president said the conduct of free and fair elections has made our democracy one of the most vibrant in the world.

He said that elections reflect the attitudes, values and beliefs of people towards their political environment and they symbolize people's sovereignty and provide legitimacy to government's authority.

The president told the Governors and Lt. Governors that they can play an important role in easing tensions in the society through their interaction and wise counsel.

Citing a Pt. Jawaharlal Nehru quote," It is a country held together by strong but invisible threads", President Mukherjee said that India's strength lies in her diversity and the multiplicities in culture, faith and language is what makes India special.

President Mukherjee told the Governors and Lt. Governors that they have a very important role to play in the improvement of higher education in their states.

He told them that being chancellors and visitors to various universities, they can work with the academic leaders to effect holistic changes for quality up-gradation in the institutions of higher learning.

"I express my deep appreciation to you all for coming together on this platform for our interaction," he said.